Exhibit 99.1


 July 28, 1999                              CONTACT:   Bryant Kinney
                                                       Duke Energy

704/382-2208

                                                       Raffaella Menezes
                                                       Hill & Knowlton - Brazil
                                                       (55-11) 5505-3738


                     DUKE ENERGY WINS PRIVATIZATION BID FOR
                      LEADING BRAZILIAN GENERATING COMPANY


SAO PAULO, BRAZIL -- Duke Energy International (DEI), a subsidiary of Duke
Energy, announced it was the successful bidder in today's privatization of
Companhia de Geracao de Energia Eletrica Paranapanema (Paranapanema) - Brazil's
eleventh largest electric generating company. DEI's bid for a controlling
interest in Paranapanema was approximately $US 680 million. DEI will assume
operational control of the company following the signing of the Concession
Contract, scheduled for late September.

Paranapanema is one of three companies formerly constituting the Sao Paulo
Energy Company and the first of the three to be privatized. It is Brazil's
second main electric generating company privatization, following that of Gerasul
in 1998. Located in the State of Sao Paulo, Paranapanema has a total installed
capacity of 2,307 megawatts and includes eight high-quality hydroelectric
generation facilities located along the Paranapanema River that produced
approximately 14,120 gigawatt hours in 1998.
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"Paranapanema is an excellent addition to DEI's growing Latin American portfolio
of integrated energy assets and trading and marketing business," said DEI
President and CEO Bruce Williamson. "Located in the industrial heartland of
Brazil and MERCOSUR, Paranapanema provides DEI opportunities to supply the
region's growing demand for electricity and energy services."

"Latin America is one of the largest and most dynamic energy markets in the
world," Williamson said. "DEI will leverage the technical and operational
expertise, market experience and financial strength of Paranapanema to develop,
manage and own integrated energy assets and establish itself as a leading energy
company in Brazil. It is a key component of our Latin American growth strategy."

In Latin America, DEI's energy business spans the entire energy value chain from
exploration, production, gathering, processing and transportation of natural gas
through to generation, electric transmission and energy trading and marketing.
Once the Paranapanema purchase is finalized, DEI's diverse portfolio of assets
will include operations and ownership in approximately 4,400 megawatts of power
generation, 125 miles of natural gas pipeline and 245 miles of electric
transmission located throughout Argentina, Brazil, Chile, Ecuador and Peru.

Duke Energy International, a subsidiary of Duke Energy, is a leading owner,
operator and developer of integrated energy projects in Asia Pacific and Latin
America. DEI's diverse investment and asset portfolio spans the entire energy
value chain from exploration, production, gathering, processing and
transportation of natural gas through to generation, electric transmission and
energy trading and marketing.

Duke Energy (NYSE:DUK) is a global energy company with more than $26 billion in
assets. Headquartered in Charlotte, N.C., the company reaches into more than 50
countries, producing energy, transporting energy, marketing energy and providing
energy services. In the United States, Duke Energy companies provide electric
service to approximately two million customers in North Carolina and South
Carolina; operate interstate pipelines that deliver natural gas to various
regions of the country; and are leading marketers of electricity, natural gas
and natural gas liquids. Additional information about the company is available
on the Internet at:

www.duke-energy.com

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